On one hand, it makes ZERO SENSE that you, a person who started making weapons about two months ago, can make better equipment than Epic Legendary Arifacts of the Epic Legends.
But on the other hand, if someone has put 15-20 perks in Smithing and Enchanting they will be rightfully miffed if they find some equipment that renders all the effort they put into those skills irrelevant. It's for this reason I was apprehensive about Smithing being included in the game when I first heard about it (not that I haven't had some fun with it, but it's still annoying).
My idea to improve it is this: Artifacts will always be better than the generic armor and weapons that you can craft, but they obviously aren't as flexible since you can make armor and weapons of any kind. However, the best stuff in the game could be craftable but you would need more than just a stockpile of raw materials and a soul gem, the materials would be obtained through a quest.
As an example, you come across a book that tells you about the Gilded Armor of Aldren, one of the greatest heroes in Skyrim history (I just made this up obviously). Not only does the armor require steel ingots and gold ingots, it also requires the eyes of a spectral dragon, and the last known spectral dragon was rumored to be residing in the depths of some forbidden cavern.